Target return-on-investment pricing refers to
A)setting the price of a line of products at a number of different price points.
B)adding a fixed percentage to the cost of all items in a specific product class.
C)setting prices to achieve a profit that is a specified percentage of the sales volume.
D)setting a price to achieve an annual target return-on-investment (ROI).
E)setting a price oriented on an annual specific dollar target volume of profit.

Question

Quizplus · Accepted Answer

Target return-on-investment pricing involves determining the price that will achieve a particular ROI target. The price is set to ensure that the expected profits from selling the product will generate the desired level of return on the investment made in producing and selling it.

Target Return-On-Investment Pricing Refers to